Forex and Bitcoin news for Asia trading Monday 6 August 2018
Canada and the CAD:
- Saudi Arabia has frozen all trade investment with Canada
- CAD is having a drop - here is why (ICYMI)
- (From the kick it while its down department) More CAD headlines to consider
- CAD has retraced all its loss now
China, trade:
- China's state media says China won't accept U.S. trade blackmail
- ICYMI - PBOC raised reserve requirement to short yuan
- Senior PBOC adviser says yuan won't break 7
- CNY set lower again today by the PBOC against the USD. A look at the index (also lower)
More
- Traders talking up cryptocurrencies, then dumping them - inside the ‘Pump groups’
- NZD traders - New Zealand Treasury says there are "Mixed messages for growth"
- Australia job ads for July +1.5% m/m
- PBOC sets USD/ CNY central rate at 6.8513 (vs. yesterday at 6.8322)
- Australian monthly inflation indicator: 0.1% m/m (prev. 0.0%)
- New Zealand - ANZ Commodity Price index for July: -3.2% m/m (prior -1.0%)
- JPM's Dimon bullish on blockchain tech (but sounds ambivalent on cryptocurrency?)
- JPM's Dimon says to prepare for US rates above 5%
- Iran is planning new FX rules – says will allow unlimited hard currency, gold into country
- Trade ideas thread - Monday 6 August 2018
- ECB's Lautenschlaeger on a pre-condition for gradual interest rate rises
- UK's international trade secretary Fox says No deal most likely Brexit outcome
- Monday morning open levels - indicative prices 6 August 2018
- Warren Buffett still has the magic touch as Berkshire profit grows
The Canadian dollar was the mover here in early Monday trade (pre-Tokyo) on breaking news (brought to by ForexLive giving you time to spare to get set in the CAD for easy pips) that Saudi Arabia had given the Canadian envoy 24 hours to get out of the country, had recalled its ambassador, and had halted all new trade and investment. This all over Canada calling out the Saudis on a human rights violation (some said the the Saudis integrating themselves with US President Trump was just an added bonus). USD/CAD gained 30-odd points in very thin early Monday trade and then retracted it all as the Asian morning progressed. Bullets with the headlines etc. are above.
Other currencies have not been overly active, with EUR, AUD, NZD, GBP all little changed against the USD. USD/JPY and USD/CHF are both a few points higher on the session but within small ranges only.
The PBOC cut it its mid rate for the CNY (i.e. higher USD/CNY) again today. There were plenty of weekend comments out of China (and the tweeter-in-chief) regarding trade war escalation (see bullets above).
The data day was one of lower tier releases only. News flow, too was non-impactful. It will be a big week in Asia ahead though with plenty of data out of China to chew on along with central bank meetings in New Zealand and Australia.
Regional stocks:
- China +0.5% (Shanghai Comp)
- HK Hang Seng +1.3%
- Japan Nikkei + 0.4%
- Australia ASX +0.75%
Still to come:
Options:
- FX option expiring at the 10am new York time cut on Monday 6 August 2018
- FX options people - heads up for expiries coming up mid-week
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